Comments for Banking UP

Comment on June 29 Marks a New Day for Retailers, and Possibly Consumers Too by David True

David True — Fri, 01 Jul 2011 01:54:17 +0000

Patrice, good post; your fourth paragraph states things quite well. I’m tired of economic studies; the answer is, to me, pretty clear: interchange transfer wealth from the merchant to the issuer, and that transfer has grown over time. This transfer allow the issuer to fund benefits the consumer receives (such as rewards). A better marketplace would have the issuer pricing benefits directly, so the consumer can decide if the benefit is worth the price.

Durbin is a blunt instrument, but it moves things in the right direction.

Comment on I am over-banked and I need help by Tweets that mention Starve A Banker » I am over-banked and I need help -- Topsy.com

Sun, 23 Jan 2011 05:59:19 +0000

[...] This post was mentioned on Twitter by Scott Loftesness and Eric Di Benedetto, iBankUP Team. iBankUP Team said: Now the over-banked would rather have the same services as the #underbanked (and soon the debanked). Starve A Banker: http://bit.ly/hOix8p [...]

Comment on The beginning of the end for payday lending? by Patrice Peyret

Patrice Peyret — Fri, 07 Jan 2011 16:10:12 +0000

The fact that “36% APR programs have not been successful for banks” is pretty sad and is the exact reason for most of the postings on this blog: banks are so inefficient and fat that they can’t operate successfully anymore below what is commonly admitted as being usury rates.
BillFloat is much much better than payday lending:
1- it is 1/20th of the rate of iAdvance
2- it is exclusively for top priority items (paying bills)
3- it does not get consumers into a spiral of debt as a BillFloat extension cannot be used to repay a BillFloat extension.

For those interested in thorough research on the subject, read “Broke, USA”, the book by journalist Gary Rivlin (www.garyrivlin.com)

Comment on The beginning of the end for payday lending? by Mary Jackson

Mary Jackson — Fri, 07 Jan 2011 15:06:32 +0000

I Advance was an innovative approach to an alternative to pay day. The fees were substantially less. The 36% apr programs have not been successful for banks. The Card Act has harmed consumers and banks are putting together checking programs and higher fees so the underbanked will be further marginalized. Where is the balance between good policy/pricing and consumer protection. It doesn’t help the underbanked by calling lenders names and creating populist rhetotic without any substance.

Comment on Prepaid payment cards users prefer Android. by Tweets that mention Starve A Banker » Prepaid payment cards users prefer Android. -- Topsy.com

Thu, 06 Jan 2011 19:09:28 +0000

[...] This post was mentioned on Twitter by Stephane Delbecque. Stephane Delbecque said: RT @ibankup: #underbanked users prefer Android phones when managing their money on the go. http://bit.ly/gC2JpN [...]

Comment on Why prepaid cards beat checking accounts for teens by Patrice Peyret

Patrice Peyret — Fri, 24 Dec 2010 18:15:54 +0000

Reggie,

I stick to my point: with most checking accounts, you still cannot give students an account that they can manage themselves in addition to having parental supervision. You are silent about whether Chase offers a separate access for you and for your kids. Maybe they do; let us know if this is the case. Wells Fargo does. So that would be the second bank on my list with a dual access checking account for teens.
But, your statement that “every bank in the country has a similar program” is just inaccurate. Only a handful do. Out of 6,000+ banks.

Comment on Why prepaid cards beat checking accounts for teens by Reggie

Reggie — Thu, 23 Dec 2010 16:47:24 +0000

Prepaid debit cards for students makes no sense.

My bank (Chase) offers students in our household free checking accounts that come with a free debit card. We just don’t order checks – we ordered deposit slips instead (a lesson about putting more in than taking out). No overdrafts are approved – if the kids don’t have the cash, the transaction is declined. $25 was all that was needed to open the account.

Adding money to the account is easy – just make a deposit at one of their 5100 branches (mom or dad can link their account for “emergencies”). Plus you get FREE Online Banking and Bill Pay, FREE Mobile banking, FREE Account Alerts, plus FREE Access to more than 15,000 Chase ATMs.

I’m sure every bank in the country has a similar program.

Overpriced prepaid debit cards from these on-line banks and Walmart are best set aside for folks who got kicked out of the bank for too many overdrafts or have deeply tarnished credit. Kids don’t need them.

Comment on The beginning of the end for payday lending? by Judy Jensen

Judy Jensen — Wed, 22 Dec 2010 17:55:40 +0000

And I-advance was shut down-these are the predators-the payday loan places.

Comment on Why prepaid cards beat checking accounts for teens by Judy Jensen

Judy Jensen — Wed, 22 Dec 2010 17:53:35 +0000

These “Ignorant Experts” in the media should really do their homework. The Kardashian Kard beat over 15 cards for usage fees including the Account NOw and the Rush Card and was just 1/2 as expensive as the Netspend Fee Advantage card.
When you pick a card don’t look it on the surface as they do. DO YOUR HOMEWORK which they don’t and figure your usage over 6 months. Just because this company was making you pay it up front what was wrong with that. No worrying about fees for 6 -12 months.
Free cards are not free-people use YOUR brains not the ones the reporters want you to use-because few of them have any. STOP being sheep and following someone because you think they are an expert. BE your own expert-Do the research!!

Comment on The Truth about the RushCard by Monex

Monex — Fri, 17 Dec 2010 15:45:31 +0000

A new finds that prepaid cards come with high fees and don t offer consumers the same kinds of protections as other forms of plastic payment. Prepaid cards are reloadable cards that can be used to make payments similar to debit cards and are becoming the foundation of a second tier banking system used by a growing number of low income consumers.